Today's Rupiah Has The Potential To Be Under Pressure Driven By Concerns Over The US Trade Tariff War

Illustration. (Photo: Doc. Antara)

JAKARTA - Financial Market Observer and Commodity Ariston Tjendra said that the movement of the rupiah has the potential to weaken against the United States (US) dollar on Thursday, March 27.

Ariston said yesterday US President Donald Trump announced the increase in automotive import rates to 25 percent.

"The issue of tariff policy is still a negative sentiment for risky assets. Rupiah is still potentially depressed," he told VOI, Thursday, March 27.

Ariston explained that this caused the US dollar index to move higher than the previous morning, at the level of 104.40s, previously in the 104.30s.

But on the other hand, Ariston conveyed the JCI rebound because the valuation was considered cheap to help strengthen the rupiah yesterday and could help contain the weakening of the rupiah today.

He conveyed that the movement of the rupiah on Thursday, March 27, has the potential to weaken against the US dollar to the level area of Rp16,600 per US dollar with the potential for strengthening at Rp16,500 per US dollar.

Quoting Bloomberg, on Wednesday, March 26, the rupiah spot exchange closed higher by 0.15 percent to the level of Rp. 16,588 per US dollar. Meanwhile, the Jakarta Interbank Spot Dollar Rate (Jisdor) exchange rate of Bank Indonesia (BI) closed up 0.20 percent to a price level of Rp. 16,588 per US dollar.